Fast Facts from EdmontonRealEstateMarket.com

As we have been entering in the information into our new site – www.EdmontonRealEstateMarket.com – a few things have stood out. Data for the site is pulled from the REALTORS® Association of Edmonton MLS® database. Currently there are over 100 communities profiled on the site and the number is growing daily.

The stats shown on the site are a snap shot of a 12 month period. The neighbourhood with the honor of having the lowest average days on market in Edmonton so far goes to Malmo Plains at 22 day on average. The largest discrepancy between the median price and average price for a community in Edmonton goes to Parkview.

The average list to sale price ratio for a neighborhood takes the sale price divided by the list price for each property and then calculates the average of all those averages. The highest list to sale price ratio we have seen for in Edmonton is 99% in Crestwood and the lowest average list to sale price ratio belongs so far to Central Mcdougall at 92%.

The most expensive home listed that sold was listed $4.4 million and $3.1 was the sale price. This is a bit of a joke when you think about it – many buyers would have dismissed even looking at it because of its high list price. Any guesses on who sold it?

There was only one neighborhood out of the 100 neighborhoods entered that had only 1 sale in its 12 month period. That area is actually the smallest neighbourhood in the city - Quesnell Heights.

Sara MacLennan is the Director of Marketing at Liv Real Estate and a licensed Real Estate Associate. The bulk of Sara’s experience and wealth of expertise lies in on-line technology and marketing both for agents and consumers. Sara is the former National Director for Interactive Marketing for Coldwell Banker Canada where she was responsible for an extensive training program traveling to offices across the country training agents and brokers on marketing and technology. Find Sara on Twitter @edmontonblogger.

Sara MacLennan is the Director of Marketing at Liv Real Estate and a licensed Real Estate Associate. The bulk of Sara’s experience and wealth of expertise lies in on-line technology and marketing both for agents and consumers. Sara is the former National Director for Interactive Marketing for Coldwell Banker Canada where she was responsible for an extensive training program traveling to offices across the country training agents and brokers on marketing and technology. Find Sara on Twitter @edmontonblogger.

tonto

Just talked to a home inspector friend of mine who says he has never been so busy as this last month. Currently he is doing 2 or 3 a day depending on size and how much overtime he can work. He is having to turn some business away as there is no way he can keep up with the demand.

tonto

Inspector Gadget

I fully expect to see the annual surge in sales and listings…the seasonal one that is. Perhaps a bump with all the crazy low mortgages around.
If things stay flat with credit this cheap we could be in for some serious sales dips if rates go up some.
I think we may pull some demand forward and not much else. Of course I could be wrong!

Itchy

I don’t see any big sales dips on the horizon and I’ll give my opinion as to why. First of all there are a lot of people moving here, either from other provinces or from outside of Canada. Those people need somewhere to live. The only other option is renting. We know that rental vacancy rates are lowering quickly. I would bet they’re sub 3% by now and not much significant adding to supply until at least late 2013 if not 2014. That means rising rents and lack of quality accommodation. Secondly, why is it assumed that if rates go up by 1 or 2%, the housing market will tank. Lots of home sales in 2006-2008 with interest rates 2.5-3% higher than they are now.
There are really only 2 things that I am concerned with. One, Europe somehow implodes and sends the world back into recession, or two, interest rates go up a lot more than 2%. Either one or both of those scenarios and you have $40.00 oil and the kind of exodus out of here like you had in 09/10. My humble opinion of course.

Inspector Gadget

So, so, so many people have rental properties here in Edmonton it blows my mind. Just added an 8th aquaintance last night who lives in a condo they hate because of negative equity.
How many sales did Edmonton have between, say Spring of 2006 and Spring of 2007? Ever occur to anyone that every single one of those people have a home worth less than they paid for it, and those with less than 10% down still owe more than their home is worth, 5 years later?

The bulls dreams of a huge boom in the economy had better come true, and even if it does it means housing will go up with wage inflation only, and thay is a best case scenario.

Too much debt, too much speculation…it will be tempered by good employment and migration here to some extent. To expect more is a pipe dream.

tonto

Most smart investors that are bullish are content with steady 3-7% gains per year. When gains are steady instead of one intense boom it reduces chances of a bust. However you or I do not decide weather it will be steady gains over the next 10 years or a huge spike this or next spring. The only thing that is certain is Edmonton property values are heading upwards.

tonto

Inspector Gadget. You insult my math when my comment had nothing to do with the negative growth of 06-07. My comment was on the market going forward. I would speculate that you may have trouble reading or you are just very simple minded.

Inspector Gadget

Respecfully, implying that the market does not care that thousands and thousands of people in Edmonton have negative equity properties, especially those that speculated and had no plans on living in or holding the properties is very naive.

Believe what you like, buy all the crappy rentals and pre construction condos and get rich!

Best of luck, see you at the finish line!

Itchy

Gadget,
I don’t think that negative equity is a big deal if things stay this way economically speaking. I mean we’ve had those same people in negative equity for 4 or 5 years now, including through a recession. I also don’t know why you think holding onto property that you’re going to rent out is a lousy idea now. I would take the opposite side and say that the rental side of the market will likely do better over the next couple of years than the resale market. Rental vacancies are tightening quickly, population growth is increasing and interest rates are rock bottom. I would go out on a limb and say the outlook for people with investor homes to rent is better now than at any time in the past 5 years.
However your point regarding the portion of people with negative equity (and I have no idea what the stats for that segment is) is well taken if things turn for the worse economically.

Inspector Gadget

Of course I am not quoting stats. Anecdotally I personally know a rather large number of investors who are under water.
Some are contemplating their options like holding on or selling at a loss.
It is safe to assume that everyone who bought with less than 10% down in 06~07 and has not sold is negative based on average prices. No matter how you slice it, that is allot of people.
That busy house inspector from the other day must have found many problems because his crazy schedule is not reflected in this Weeks stats, that is for sure.
Prices for SFH are up, sales are down….not a good thing for the bull.

tonto

Once again your ignorance is highlighted. I had said I would expect to see higher sales within the next week or two when commenting on my inspector friend. Although I will give you credit on being one who only hears and sees what they want to 😉

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